N.Y. Comp. Codes R. & Regs. tit. 11, § 44.7 – Memorandum in support of contract form filing.

(a) Each contract form containing a market-value adjustment formula that is filed with the superintendent pursuant to section 3201(c)(10) of the Insurance Law shall be accompanied by a memorandum, in form and substance satisfactory to the superintendent:
1. (1) describing the market-value adjustment formula provided in the contracts;
2. (2) containing, or accompanied by, an actuarial opinion that the market-value adjustment formula provides reasonable equity to terminating and continuing contractholders and to the company; and
3. (3) demonstrating the contract's compliance with the nonforfeiture provisions of section 4223 of the Insurance Law.
(b) The description of the market-value adjustment formula referred to in paragraph (a)(1) of this section shall include:
1. (1) the provisions of the formula and a description of each of the elements used in the formula, identification of the source or publication where the data used in the formula can be found;
2. (2) a statement of the situations in which the formula will be applied;
3. (3) a statement of the frequency with which market-value adjustments will be calculated; and
4. (4) numerical examples of both upward and downward adjustments to cash surrender benefits due to the application of the formula.
(c) The actuarial opinion referred to in paragraph (a)(2) of this section shall include:
1. (1) a statement of the elements used in the market-value adjustment formula, and how the operation of such elements will result in reasonable equity as provided in paragraph (a)(2) of this section;
2. (2) the actuary's opinion that such equity is maintained for both upward and downward adjustments; and
3. (3) at least two numerical examples (both containing an upward and downward adjustment) supporting the opinion that reasonable equity is provided. These examples should show how the market-value adjustment formula will produce results reasonably similar to changes in the market value of a hypothetical asset which is invested to match the payment of benefits guaranteed under the contract.